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Viewing cable 07DHAKA156, NEW ADVISER FOR AGRICULTURE TALKS ABOUT FERTILIZER

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Reference ID Created Released Classification Origin
07DHAKA156 2007-01-29 09:49 2011-08-25 00:00 UNCLASSIFIED//FOR OFFICIAL USE ONLY Embassy Dhaka
VZCZCXRO1133
RR RUEHCI
DE RUEHKA #0156 0290949
ZNR UUUUU ZZH
R 290949Z JAN 07
FM AMEMBASSY DHAKA
TO RUEHC/SECSTATE WASHDC 3089
INFO RUEHNE/AMEMBASSY NEW DELHI 9610
RUEHIL/AMEMBASSY ISLAMABAD 1474
RUEHKT/AMEMBASSY KATHMANDU 8912
RUEHLM/AMEMBASSY COLOMBO 7757
RUEHGO/AMEMBASSY RANGOON 2512
RUEHCI/AMCONSUL CALCUTTA
UNCLAS DHAKA 000156 
 
SIPDIS 
 
SENSITIVE 
SIPDIS 
 
PLEASE PASS TO USAID WASHINGTON 
 
E.O. 12958: N/A 
TAGS: EAGR PGOV PREL TSPL BG
SUBJECT: NEW ADVISER FOR AGRICULTURE TALKS ABOUT FERTILIZER 
CRISIS AND CONTINUED BILATERAL COOPERATION 
 
1. (SBU) SUMMARY:  Dr. Karim is happy with the 
U.S.-Bangladesh development partnership.  With no idea how 
long he will be in office, Karim,s goals are general 
systematic improvements to the Ministries, operations, 
specifically planning, information management, and human 
resources development.  He is concerned by the current 
fertilizer crisis in the agricultural sector, and said he 
plans to work actively to resolve the problem.  END SUMMARY 
 
2. (SBU) On January 24, the Ambassador, AID Country Director, 
and Econoff (notetaker) met with Dr. C. S. Karim, newly 
appointed Adviser to the Caretaker Government responsible for 
Agriculture, Fisheries & Livestock, and Environment & Forest. 
 Since 1993, Dr. Karim had been with the Bangladesh Atomic 
Energy Commission, first as Chief Scientific Officer, then in 
1997 as Director of the Nuclear Power and Energy Division, 
and finally as Chairman. 
 
KARIM DECLARES "WAR" ON FERTILIZER PROBLEMS 
 
3. (SBU) As Bangladesh enters the Boro rice planting season, 
fertilizer shortages are making daily headlines.  (NOTE: 
Boro is a type of rice which requires large quantities of 
artificial fertilizer, and because it is planted in the dry 
season, also requires irrigation.  END NOTE.)  Dr. Karim 
cited problems not only with domestic fertilizer production 
but also with distribution networks and supply management of 
both domestic and imported fertilizer.  He provided two 
examples to illustrate the problems he sees: first is the 
difficult choice between local production of fertilizer or 
electrical generating capacity.  In one area, there is enough 
natural gas to run the power plant or to convert into nitrate 
fertilizer, but not enough to do both.  Therefore, the choice 
becomes either electricity or fertilizer at a time when power 
outages are a political hot-button issue and when fertilizer 
is coming into maximum demand.  Second, the silting of rivers 
now prevents barges loaded to their maximum efficient 
capacity from being able to move upstream in many areas. They 
are forced to transship cargo to smaller barges with less 
than a six-foot draft, which is less efficient, more costly, 
and diverts resources from other areas.  He does feel that 
there is an adequate overall supply of fertilizer in the 
country, but distribution is a serious problem, and some 
fertilizer is being smuggled to India to take advantage of 
higher prices there. 
 
U.S. GOVERNMENT FUNDED PROGRAMS 
 
4. (SBU) The Ambassador stressed the benefit of USAID 
programs, specifically the Nishorgo Support Project, the 
Arannayk Foundation/Tropical Rainforest Conservation Act of 
1998, and the Management of Aquatic Ecosystems through 
Community Husbandry project.  These are real success stories, 
she noted, and their successes need to be reinforced and 
replicated.  The USAID Country Director reinforced that 
contrary to media reports, AID funding is actually increasing 
in Bangladesh.  Karim noted that USAID is losing visibility 
in Bangladesh and that AID,s new programs lack the durable 
images of previous ones. 
 
BILATERAL SCIENCE AND TECHNOLOGY AGREEMENT 
 
5. (SBU) Dr. Karim raised the issue of the status of the 
United States - Bangladesh Bilateral Agreement on Science and 
Technology, hoping that it can move forward.  (NOTE:  Post is 
evaluating the implementing committee members proposed by the 
Bangladesh Atomic Energy Commission.  Unfortunately, their 
nominees come exclusively from the nuclear science field and 
are likely to be narrowly focused on nuclear assistance for 
electricity generation.  END NOTE.) 
BUTENIS